Inchini Bedrock Cement is investigated for tax evasion

Inchini Bedrock Cement is investigated for tax evasion
26 March 2018

Ethiopia-based cement producer, Inchini Bedrock Cement Plc, is being investigated by the Office of the Attorney General for alleged tax evasion of ETB133m (US$4.8m) over the span of six years. The Ethiopian Revenues & Customs Authority (ERCA) reports that the company is liable for ETB276m (US$10m), says All Africa.

Inchini has declared losses in all but two of its years since its establishment seven years ago. But the Authority's Large Taxpayers Office (LTO) refuted these claims and conducted its investigative audit concluding that Inchini had failed to keep records of the raw materials and finished products in stock.

Inchini was established with a capital of ETB80m by Chinese investors and had a grace period of five years since 2012, although the company needed to pay income and value-added taxes worth ETB133m.

An additional ETB143m fee that the cement factory has to settle, is for interest and as a penalty, according to the Taxpayers Office' auditors.

Published under Cement News